Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Swedish investors cleared to buy Carter Holt dairy farms

Swedish investors cleared to buy Carter Holt dairy farms

By Paul McBeth

Jan. 31 (BusinessDesk) - An unnamed Swedish institution has been cleared to buy eight Waikato dairy farms from local billionaire Graeme Hart's Carter Holt Harvey by the Overseas Investment Office.

Southern Pastures Limited Partnership was given a green light to buy 3,205 hectares of land in December for an undisclosed sum, according to a decision summary published today. The farms have been for sale since 2010, when Carter Holt put 29 farms of converted forestry land up for sale, asking $224.5 million.

The entity is 99 percent owned by a Swedish institutional investor and 1 percent owned by Southern Pastures Management, the LP's general partner which will operate the farms, spokesman Cedric Allan told BusinessDesk. The structure of the fund lets institutional investors get direct exposure to local farms, which are operated by the local manager.

Southern Pastures Management is headed by dairy farmer and former All Black captain Graham Mourie.

The dairy group plans to bolster production through increased capital expenditure, sound farming practices and good management, according to the summary decision.

The local group has no plans to get into milk processing, and will continue to supply Fonterra Cooperative Group, Allan said. He declined to comment on production targets.

As part of the purchase, there is forestry land that still needs to be converted, providing instant opportunities for Southern Pastures to improve its production, Allan said.

Foreign investment in farmland, particularly by the Chinese, has been a point of contention in recent years, and ultimately led to tighter controls on the sale of farmland. That's seen two Chinese milk players, Yashili International and Inner Mongolia Yili Industrial, put their efforts toward securing processing facilities in New Zealand.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Power Outages, Roads Close: Easter Storm Moving Down Country

The NZ Transport Agency says storm conditions at the start of the Easter break are making driving hazardous in Auckland and Northland and it advises people extreme care is needed on the regions’ state highways and roads... More>>

ALSO:

Houses (& Tobacco) Lead Inflation: CPI Up 0.3% In March Quarter

The consumers price index (CPI) rose 0.3 percent in the March 2014 quarter, Statistics New Zealand said today. Higher tobacco and housing prices were partly countered by seasonally cheaper international air fares, vegetables, and package holidays. More>>

ALSO:

Notoriously Reliable Predictions: Budget To Show Rise In Full-Time Income To 2018: English

This year’s Budget will forecast wage increases through to 2018 amounting to a $10,500 a year increase in average full time earnings over six years to $62,200 a year, says Finance Minister Bill English in a speech urging voters not to “put all of this at risk” by changing the government. More>>

ALSO:

Prices Up, Volume Down: March NZ House Sales Drop 10% As Loan Curbs Bite

New Zealand house sales dropped 10 percent in March from a year earlier as the Reserve Bank’s restrictions on low-equity mortgages continue to weigh on sales of cheaper property. More>>

ALSO:

Scoop Business: Chorus To Appeal Copper Pricing Judgment

Chorus will appeal a High Court ruling upholding the Commerce Commission’s determination setting the regulated prices on the telecommunications network operator’s copper lines. More>>

ALSO:

Earlier:

Cars: Precautionary Recalls Announced For Toyota Vehicles

Toyota advises that a number of its New Zealand vehicles are affected by a series of precautionary global recalls. Toyota New Zealand General Manager Customer Services Spencer Morris stressed that the recalls are precautionary. More>>

ALSO:

'Gardening Club': Air Freight Cartel Nets Almost $12 Million In Penalties

The High Court in Auckland has today ordered Swiss company Kuehne + Nagel International AG to pay a penalty of $3.1 million plus costs for breaches of the Commerce Act. Kuehne + Nagel’s penalty brings the total penalties ordered in this case to $11.95 million ... More>>

ALSO:

Crown Accounts: Revenue Below Projections

Core Crown tax revenue has increased by $1.9 billion (or 5.0%) compared to the same time last year. However this was $1.1 billion less than expected and is reflected across most tax types, continuing the pattern of recent months. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news